Mercury is the cheapest car insurance company in Illinois overall. But for certain types of drivers, Progressive, American Family and Country Financial might have lower rates.
If you’re looking to balance cost with service quality, MoneyGeek identified the best car insurance companies in Illinois.
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Cheapest Minimum Liability Car Insurance in Illinois (October 2023)
In Illinois, the cheapest auto insurance companies for a minimum coverage policy are:
- Mercury: $248 per year
- Auto-Owners: $337 per year
The most expensive minimum coverage car insurance in Illinois is offered by Progressive at roughly $1,080 per year, based on the companies MoneyGeek assessed. Car insurance that meets Illinois’ minimum car insurance requirements covers bodily injury liability, property damage liability and uninsured or underinsured motorist insurance.
Car insurance with minimum coverage only pays for the cost of damages or injuries you inflict on others in an accident. If you want protection that extends to your own vehicle, consider buying a full coverage policy that includes comprehensive and collision insurance.
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Cheapest Full Coverage Car Insurance in Illinois (October 2023)
Our study determined that the cheapest full coverage car insurance companies in Illinois are:
- American Family: $696 per year
- Auto-Owners: $789 per year
The most expensive full coverage policy in Illinois costs roughly $1,975 per year from Progressive, based on the companies MoneyGeek assessed.
Adding comprehensive and collision insurance to your auto policy will make your premium more expensive. For example, American Family’s full coverage car insurance costs an average of $448 more than Mercury's policy with minimum coverage. A full coverage policy will financially protect you and your vehicle against damages caused by on-road accidents (hitting another car or object) and off-road incidents (vandalism, theft, fire and weather hazards).
How much car insurance you need will significantly influence your rates. Our study’s sample full coverage policy has the following liability limits:
- $100,000 bodily injury per person
- $300,000 bodily injury per accident
- $100,000 property damage per accident
To reduce your premium, you can lower your liability limits, remove comprehensive and collision insurance or raise your deductible. That said, you risk having insufficient coverage in the event of an accident.
How to Compare Cheap Illinois Car Insurance Quotes Online
You can get quotes online from different car insurance providers, but you have to submit personal information for each one, which can take up to 15 minutes. To compare rates across multiple companies, you need to spend more of your time repeating this process.
Our car insurance calculator can help you get a quick estimate without providing specific personal details. Enter your age, gender and driving record below to find the lowest rates for your profile.
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See how the Average Annual Auto Insurance Rates vary with the options chosen.
Cheapest Car Insurance in Illinois by Age (October 2023)
Car insurance rates in Illinois are heavily affected by age. On average, Progressive and American Family offer the lowest prices for the different age groups in your family.
Cheapest Car Insurance in Illinois for Teens and Their Families (October 2023)
The two companies providing the cheapest car insurance for teens in Illinois are:
- Progressive: $2,195 per year for teen boys and $1,906 per year for teen girls
- Auto-Owners: $2,026 per year for teen boys; Travelers: $2,047 per year for teen girls
GEICO offers the most expensive car insurance in Illinois for teen boys and girls, at an average of $3,217 per year and $2,932 per year, respectively. These rates are for a 16-year-old on a parent’s policy.
Among the teens, 19-year-olds pay the cheapest car insurance premiums because teens' rates decrease as they age. Auto-Owners ($1,609 per year) has the lowest rates for 19-year-old males in Illinois compared to its competitors.
Teens tend to pay less if they are added to a parent’s policy than if they buy separate insurance. And in most cases, it is illegal for a teen under 18 to purchase auto insurance without a parent or guardian to co-sign. In Illinois, 16-year-olds may save around $2,566 per year if they’re on a parent’s policy instead of buying their own policy.
On average, car insurance rates for male teens tend to be significantly more expensive than for female teens due to their higher risk of accident frequency. This rate difference is not as notable when drivers reach their 20s and beyond. — Mark Friedlander, Director, Corporate Communications, Insurance Information Institute
Families in Illinois who want to reduce their insurance premiums may qualify for student discounts. Many companies, including Auto-Owners, Allstate, Progressive and State Farm, offer discounts for both students away from home and those with good academic performance.
Cheapest Car Insurance in Illinois for Young Adults (October 2023)
We discovered that the companies providing the cheapest car insurance in Illinois for drivers in their 20s are:
- American Family: $746 per year
- Travelers: $1,040 per year
At an average of $2,360 per year, Progressive charges the most for young adult drivers. In addition, 25-year-old drivers in Illinois pay about $50 more for an American Family policy than a 40-year-old due to younger adults' higher risk of at-fault accidents.
Cheapest Car Insurance in Illinois for Seniors (October 2023)
The following companies offer the most affordable car insurance for seniors in Illinois:
- American Family: $677 per year
- Auto-Owners: $761 per year
Progressive provides the highest rate for senior drivers that are 65, at roughly $1,981 per year. In Illinois, drivers in their 60s pay about $19 less for insurance coverage from American Family than those in their 40s. However, rates typically increase when drivers reach their 70s and 80s due to an increase in risk factors.
Allstate, GEICO and Mercury all provide discounts to senior drivers in Illinois who want to save on premiums. Since various factors besides age are used to calculate rates, comparing multiple providers is the best way to find the cheapest car insurance for older drivers.
Cheapest Car Insurance for Higher Risk Drivers (October 2023)
Our study found that American Family is the cheapest insurance provider for drivers in Illinois with speeding tickets, with at-fault accidents and those with DUIs. American Family is also the cheapest for owners of sports cars, as well as for people with poor credit.
You may take state-approved driving courses to gradually improve your profile and get more affordable insurance options. But, a DUI stays on your driving record for life in Illinois and may significantly impact the availability and cost of your car insurance.
Cheapest after a ticket: American Family ($835 per year)
Cheapest after an accident: American Family ($817 per year)
Cheapest after a DUI: American Family ($835 per year)
Cheapest for poor credit: American Family ($1,267 per year)
Cheapest for sports cars: American Family ($655 per year)
Cheapest Car Insurance in Illinois After a Ticket
For Illinois drivers with a speeding ticket, the cheapest car insurance companies are:
- American Family: $835 per year
- Auto-Owners: $874 per year
Progressive offers the most expensive coverage for drivers with tickets, at approximately $2,591 per year. In Illinois, getting a speeding ticket may increase your car insurance premium by $273 and will generate an annual premium surcharge for at least three years.
Cheapest Car Insurance in Illinois After an Accident
The following insurers provide the cheapest car insurance for Illinois drivers with an at-fault accident:
- American Family: $817 per year
- Auto-Owners: $1,004 per year
Progressive offers the most expensive rate at an average of $3,049 per year. Expect to pay roughly $528 more for car insurance in Illinois after an at-fault accident.
Adding accident forgiveness to your auto insurance policy in Illinois may stop your premium from increasing after your first at-fault accident. And you may avoid the annual premium surcharge insurers apply to your policy for a minimum of three years. Multiple companies offer accident forgiveness for an additional cost, and some, like GEICO, award it for free for having a good driving record. — Mark Friedlander, Director, Corporate Communications, Insurance Information Institute
Cheapest Car Insurance in Illinois After a DUI
The least expensive car insurance companies in Illinois for drivers with a DUI are:
- American Family: $835 per year
- Country Financial: $1,356 per year
Hanover offers the most expensive rate, at roughly $2,996 per year. Illinois drivers with a DUI on their record tend to pay about $656 more for car insurance than those with a clean record. And at the very minimum, they experience an annual premium surcharge for at least three years.
Cheapest Car Insurance in Illinois for Drivers With Poor Credit (October 2023)
In Illinois, the most affordable car insurance providers for drivers with poor credit are:
- American Family: $1,267 per year
- Country Financial: $1,312 per year
At $3,139 per year, Progressive is the most expensive insurer for drivers with poor credit. Insurance companies in Illinois consider credit history when calculating rates. Drivers with credit scores below 580 often pay about $818 more for coverage than those with credit scores above 750.
Auto insurance companies found that those with poor credit are more likely to file claims, so they charge higher premiums to offset the costs of covering these drivers. Like many other states, Illinois allows insurers to consider credit-based insurance scores when calculating rates.
While improving your credit score gradually, you may seek companies that offer safe-driver or other discounts to help lower your insurance rate.
Cheapest Car Insurance in Illinois for Sports Cars (October 2023)
The following companies provide the least expensive car insurance for drivers in Illinois with a sports car:
- American Family: $655 per year
- Auto-Owners: $791 per year
The most expensive provider is Progressive, with an average annual premium of $3,285. Since sports cars have higher repair and replacement costs, Illinois drivers with a sports car tend to pay $261 more for car insurance than those with a standard Toyota Camry.
We used a Ford Mustang for the quotes above, but car insurance costs can still vary greatly based on the car model. Luxury, electric and sports cars often require more expensive insurance coverage than standard vehicles.
Cheapest Car Insurance in Illinois for Military Drivers (October 2023)
At an average of $696 per year, American Family is the cheapest car insurance provider for active military members and veterans in Illinois.
USAA also offers policies for military families, at roughly $1,091 per year. This insurer is available in all states and tailors its service to those with a military background. However, there are many cheaper options for military personnel in Illinois.
You may also consider GEICO. It has multiple discounts available to military-affiliated drivers that can lower the cost of auto insurance.
- $696 per year
- Ranks first out of 15 auto insurers for affordability
Although American Family doesn’t offer military-specific discounts, it allows policyholders to lower their premiums in other ways. These include discounts for bundling, multiple cars, good students and safe driving. You may also get a discount for completing a state-approved defensive driving course.
Cheapest Car Insurance in Illinois by City
Various factors significantly affect the cost of car insurance in Illinois, including the city where you live. Living in a neighborhood with higher rates of accidents, thefts or vandalism may make you more likely to file claims, so your premiums may be more expensive.
According to our study, the cheapest city in Illinois for car insurance is Peoria, where a full coverage policy from GEICO has an average annual rate of $704. GEICO is also the most affordable option in Rockford, at approximately $762 per year.
Auto insurance is most expensive in Chicago, where a full coverage policy costs roughly $1,018 per year with American Family.
Check our table of Illinois cities to see how the average cost of car insurance changes depending on the location.
Car Insurance in Illinois: What You Need to Know
In Illinois, drivers are required to carry a policy that includes uninsured/underinsured motorist coverage along with bodily injury liability (BIL) and property damage liability (PDL). They also have the option to self-insure if they own at least 25 cars.
Illinois Car Insurance Requirements
Illinois drivers are required to carry insurance that meets the minimum requirements for bodily injury liability, property damage liability and uninsured/underinsured motorist coverage. A minimum coverage policy is the cheapest insurance you can purchase, but it may not offer adequate coverage in case of an accident.
Additionally, SR-22 insurance is needed for drivers with serious traffic violations like reckless driving, driving without insurance, driving under the influence or driving with a suspended license, which will typically lead to much higher rates than average drivers. SR-22 is a certificate filed by the insurer to prove the driver has the required insurance coverage in Illinois.
Bodily Injury Liability
In Illinois, you must have $25,000 in bodily injury liability for each person and $50,000 for each accident. If you get into an accident and cause injuries to someone else, you will be responsible for the other party’s medical costs that exceed these limits.
Property Damage Liability
Illinois drivers are required to have at least $20,000 in property damage liability. This will cover repairs up to $20,000 if you damage someone else’s property in an accident. If the cost of repairs is above this limit, you will have to pay out of pocket for the rest.
Uninsured/Underinsured Motorist Coverage
Illinois requires drivers to carry $25,000 in uninsured/underinsured motorist bodily injury liability for each person and $50,000 for each accident. If you get into an accident with an uninsured or underinsured driver, you will have to shoulder any costs that exceed these limits.
To ensure adequate financial protection in case of an at-fault accident, consider raising your liability limits to $100,000 in bodily injury for each person, $300,000 in bodily injury for each accident and $100,000 in property damage. You will likely be required to add comprehensive and collision insurance to your policy if you finance or lease your car.
Comprehensive insurance covers the damage to your vehicle caused by vandalism, fires, natural disasters and weather-related incidents. Collision insurance pays for the damages to your car after hitting another car or a stationary object.
Comprehensive and collision coverage is also recommended for drivers who are not financing or leasing a vehicle to have a greater level of financial protection.
Car Insurance Alternatives in Illinois
Unless you have more than 25 vehicles registered under your name, there’s no alternative to car insurance in Illinois. If you own more than 25 cars, you may qualify for self-insurance. This means you will assume all financial responsibilities in case of a vehicular accident, including the cost of repairs and medical treatments.
To obtain a certificate of self-insurance from the Director of the Department of Insurance, you must be financially capable of paying for claims as a minimum coverage policy would.
However, the Director may cancel your certificate of self-insurance if you fail to cover damaged vehicles in the event of an accident.
FAQs About Car Insurance in Illinois
It’s common to have questions about cost and quality when looking for car insurance. Our answers to some commonly asked questions can help you better understand car insurance in Illinois.
Expert Advice on Finding Cheap Car Insurance in Illinois
To help you find credible and accurate insight on car insurance in Illinois, MoneyGeek received expert advice from trusted professionals. The perspectives and opinions expressed are those of the individual contributor.
- What are the key factors drivers in Illinois should look for when searching for the best auto insurance coverage?
- How do regulations and rules in Illinois impact insurance pricing and how consumers might shop for coverage?
- What natural or environmental factors should drivers in Illinois consider when shopping for the best car insurance coverage?
- What steps can drivers in Illinois take to find affordable car insurance?
CERTIFIED FINANCIAL PLANNER™(CFP®), Certified Wealth Strategist® (CWS®)
Assistant Professor of Economics and Director of the Actuarial Science Business Program at Bradley University
Associate Professor of Economics at Northeastern Illinois University
Professor of Finance and Quantitative Methods at Bradley University
Associate Professor of Business at Moraine Valley Community College
Assistant Professor of Finance at Southern Illinois University Edwardsville
Assistant Professor of Finance at Millikin University
About Mark Fitzpatrick
- Illinois General Assembly. "Vehicles." Accessed December 15, 2022.